India Financial Code will be introduced in Parliament soon, Finance Minister Arun Jaitley said today.
As suggested by the Financial Sector Legislative Reforms Commission (FSLRC), IFC lays out clear objectives for financial regulations.
The Indian Financial Code will be introduced in Parliament after the Srikrishna Committee report, Jaitley said in his Budget 2015-16 proposals.
The code focuses on the formal process through which the legislative, executive and judicial functions take place in financial regulators.
Besides, it provides clear objectives for financial regulation where government intervention is required and the areas include consumer protection, systemic risk reduction, debt management, capital controls and micro-prudential regulation.
FSLRC, chaired by Justice B N Srikrishna had submitted its report to the government in March 2013.
The recommendations of the FSLRC are divided into legislative and non-legislative aspects.
It has recommended a seven-agency structure for the financial sector -- the Reserve Bank of India (RBI), Unified Financial Agency (UFA), Financial Sector Appellate Tribunal (FSAT), Resolution Corporation (RC), Financial Redressal Agency (FRA), Financial Stability and Development Council (FSDC) and Public Debt Management Agency (PDMA).
